Growgeneration Corp. · NASDAQ:GRWG
Growgeneration — Q2 2021 Earnings Presentation
13 slides from Growgeneration's earnings presentation, Aug 12, 2021
Slide 1: Investor Presentation
INVESTOR PRESENTATION August 12, 2021 1
Slide 2: Safe Harbor Statement
growgeneration.com SAFE HARBOR STATEMENT This presentation is being provided for information purposes only and does not constitute an offer to sell or a solicitation of an offer to purchase any of the Company’s securities. This presentation is not intended, nor should it be distributed, for advertis
Slide 3: Supplying Controlled Environment Agriculture at Scale
SUPPLYING CONTROLLED ENVIRONMENT AGRICULTURE AT SCALE Snapshot Business Overview § Largest Hydroponic Supplier with 58 Stores in 12 States § Customer centric service and support with best-in-class offerings, pricing and availability § Growing Network of Locations and ability to Service Customers § F
Slide 4: Controlled Environment Agriculture
4 CONTROLLED ENVIRONMENT AGRICULTURE • GrowGeneration products help control the indoor environments and allow for 24/7 growing that is not dependent on weather • Allows multiple harvests in any weather environment • Significant reduction in water and other resources creates sustainable and resource
Slide 5: Strategically Located Stores Serve Commercial and Retail Growers
STRATEGICALLY LOCATED STORES SERVE COMMERCIAL AND RETAIL GROWERS § GrowGeneration States Targeted for New Markets: Missouri, Illinois, Arizona, Pennsylvania, New York, New Jersey WA § Total Square Feet: 875,000+ ME MT ND § 100,000 walk-ins per month MN VT OR NH ID WI MA State Current Expected SD MI
Slide 6: New Super Garden Center Locations Are Commercial Hubs
growgeneration.com NEW SUPER GARDEN CENTER LOCATIONS ARE COMMERCIAL HUBS FOR PRIVATE LABEL LOGISTICS, FULFILLMENT AS WELL AS FOOT TRAFFIC 40,000 to 70,000 Square Feet Super Garden Centers WHERE THE PROS GO TO GROW 6
Slide 7: Online and Retail Work Together in Inventory and Shipping
growgeneration.com ONLINE AND RETAIL WORK TOGETHER IN INVENTORY AND SHIPPING OMNI CHANNEL APPROACH THAT SEEKS TO PROVIDE CUSTOMERS WITH A SEAMLESS ONLINE SHOPPING EXPERIENCE WHERE THE PROS GO TO GROW 7
Slide 8: Robust Product Mix Provides Recurring Revenue
growgeneration.com ROBUST PRODUCT MIX PROVIDES RECURRING REVENUE Product Mix by Revenue: 2020 Product Overview Consumables § Consumables include nutrients soils and additives Non- Consumables § Non Consumables include lights, benching, ~40% and environmental control systems ~60% WHERE THE PROS GO TO
Slide 9: Big Opportunity in Private Label Products
growgeneration.com BIG OPPORTUNITY IN PRIVATE LABEL PRODUCTS 2021 STRATEGY IS TO GROW PRIVATE BRANDS & PRIVATE LABEL OFFERINGS THAT HAVE ATTRACTIVE GROSS MARGINS Exclusively distributed by GrowGeneration WHERE THE PROS GO TO GROW 9
Slide 10: Financial Highlights
growgeneration.com FINANCIAL HIGHLIGHTS $ in millions Projected Revenue Same store sales $455-$475 73% 62% 60% 58% 58% 49% 52% $193 48% $80 $29 2017 2018 2019 2020E 2021E Q3 2019Q4 2019Q1 2020Q2 2020Q3 2020Q4 2020Q1 2021Q2 2021 Garden Centers More Revenue in First 6 2021 YTD Revenue Q2 2021 Revenue
Slide 11: 2019 to 2021 Quarterly Revenue Growth
growgeneration.com 2019 TO 2021 QUARTERLY REVENUE GROWTH GrowGeneration Total Revenue ($000) 140,000 125,885 120,000 100,000 90,022 80,000 61,886 60,000 55,046 43,452 40,000 32,982 25,387 19,483 21,778 20,000 13,087 - 1Q 2019 2Q 2019 3Q 2019 4Q 2019 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 WH
Slide 12: 2020 to 2021 Gross Margin Improvements
growgeneration.com 2020 TO 2021 GROSS MARGIN IMPROVEMENTS 29.0% 28.4% 28.5% 28.2% 28.0% 27.5% 27.1% 27.0% 26.7% 26.5% 26.5% 26.2% 26.0% 25.5% 25.0% 1Q 2020 2Q 2020 3Q 2020 4Q 2020 1Q 2021 2Q 2021 WHERE THE PROS GO TO GROW 12
Slide 13: Contacts
growgeneration.com Contacts Denver, CO Tel: 800.935.8420 Darren Lampert Jeff Lasher John Evans Chief Executive Officer Chief Financial Officer Investor Relations [email protected] [email protected] [email protected] 415-309-0230 WHERE THE PROS GO TO GROW 13